Key Principle No. 9

Ignore the noise – do not waste time on maintenance of ideas.

A good investor must learn to ignore 95% of the day to day “news” about their stocks. Most of the so-called news is nothing more than noise that absolutely has no relevance to your investment thesis.

Time management is a critical skill to a good investor. This skill is almost never discussed in traditional texts. If you are spending more than 10% of your time on maintenance research, you will not have enough time to look for good new ideas.

A critical part of building our model portfolio will be limiting our reaction to meaningless news.